Mcallen Daily Monitor

M'ALLEN GETS
FEDERAL
LOAN
SAVINGS
BANK
Application For Charter For Government
Supervised And Aided Institution Filed.

Organization of the Valley Federal
Saving and Loan association
was assured at a meeting at the
City State Bank and Trust Co.,
last night and application for a
charter will be mailed today. The
thirty signatures necessary for an
application were secured, the necessary
capital was subscribed and
it is expected that the new organization
which is intended to
further building operations in the
Valley under federal control and
with federal financial aid will be
in operation in the next thirty or
sixty days.

The movement for the organization
of the savings and loan association
was started several weeks
ago by W. W. Dees, cashier of the
City State Bank & Trust Co. on a
visit to Little Rock, where the
regional Federal Home Loan bank
which has jurisdiction over this
territory, is located. Mr. Dees
made arrangements for the organization
of a Valley bank in McAllen
and C. Gordon Jones, a
field representative of the federal
institution, was sent here, to aid
in making the setup.

There have been several meetings,
at which stock was subscribed
not only by McAllen men,
but also by people in other cities
of the Valley. Mr. Jones was present
at the meeting last night
when the last of the required thirty
signatures was secured.
He
helped in drawing the application
for a charter today and left for
another city this afternoon.

Under the terms of the federal
act under which these associations
are organized, the government
subscribes three dollars for every
dollar put up by local capital. The
government then supervises the
operation of the association.

When the charter arrives, officers
will be elected and headquarters
will be set up in the local
bank which is making no charge
for rent or clerical services.